NEWS #18

 

From October 31, 2013 to November 17, 2013

November 17, 2013

Just some links today

Andrew Huszar: Confessions of a Quantitative Easer, on Online.WSJ.Com.

Recession clouds loom again over faltering euro zone countries , on TheGlobeAndMail.Com.

Retail war hits Wal-Mart, on TheGlobeAndMail.Com.

Bender Comment:

Same store sales are down, yet Wal-Mart beat estimates by a penny? How did it do that? Well, despite its announcements to the contrary, Wal-Mart shrunk its staff. The stores have a natural turnover anyway. It was simple to not replace some workers leaving. Wal-Mart is a top-down one-size-fits all kind of organization (Which is why you will find kudzu killer on the shelves in the garden centers in places like Wyoming, Montana, and North Dakota.) If sales are awful and staffs have to be reduced in one part of the country, then they get reduced everywhere in the U.S. So Wal-Mart made its numbers on the backs of its workers. This is not a feat it will be able to repeat often.

Five years after the economic meltdown, the world is still an ugly place, on TheGlobeAndMail.Com.

Economy's supposed slow recovery is really a 'secular stagnation', on TheGlobeAndMail.Com.

Monetary Policy Myths Debunked: Money Is Not Capital, the Fed Does Not Lead Markets, on Minyanville.Com.

Which Cities Americans Are Moving to - and Escaping From, on Finance.Yahoo.Com.

The Bitcoin Wealth Effect: The Currency's New Record Is Chilling Sign, on Minyanville.Com.

Crusader Robert Reich turns a lens on U.S. income inequality , on TheGlobeAndMail.Com.

Doug Casey in Cyprus: Crisis Investing in Action, on CaseyResearch.Com.

Caught in a Revolving Door of Unemployment, on NYTimes.Com.

Economy offers little cheer ahead of holidays, on MarketWatch.Com.

November 15, 2013

Tobby Connor sends along this posting:

November 11, 2013

Just some links today

The Fed Is Bungling the World's Reserve Currency, on Minyanville.Com.

Is Bank of America worth more dead or alive?, on MarketWatch.Com.

Bender Comment:

Some of us subscribe to the Large Object Theory of History. Basically, it is the idea that organisms and/or organizations will keep growing, keep getting impossibly large until they can no longer sustain themselves in their environment (think Dinosaurs, or AIG) (for further edification read the children's book: The Pushcart War). Has Bank of America reached that stage? Certainly, it has HUGE assets. But just how adept is it in its own environment? Who else might also be too-big-to-avoid-failing?.....Fanny Mae and Freddy Mac may be if we can find the right politician to point out that those two monarchs have not a stitch of clothing on.

Simple Sitting Test Predicts How Long You'll Live, on DiscoverMagazine.Com.

Feds report $9.7B loss on GM shares, on DetroitNews.Com.

Housing Stocks To Pop Up Into 2014, on MCOscillator.Com.

Chase Isn't The Only Bank In Trouble, on RollingStone.Com.

Treasure Hunters of the Financial Crisis, on NYTimes.Com.

The Most Compelling Argument for Owning Silver I've Ever Heard, on DailyWealth.Com.

November 10, 2013

Just some links today

The Story of How America Was Packaged and Sold, on DailyWealth.Com.

Forget the Shutdown! US Economy About to Hit the Vortex of a Structural Trap, on Minyanville.Com.

November 5, 2013

Tobby Connor sends along this posting:

November 3, 2013

Here are some more links.

This commodity is almost guaranteed to soar now, on TheDailyCrux.Com.

General Motors Executive Warns of Impending Auto Bubble , on FreeBeacon.Com.

Test failures at the highs suggest downside to come, on MarketWatch.Com.

The Story of How America Was Packaged and Sold, on DailyWealth.Com.

November 2, 2013

Tobby Connor sends along this posting:

.................................................................

Here are some links.

A Radical New Approach to Energy Production, on GrowthStockWire.Com.

Porter Stansberry: This could be the most shocking "End of America" prediction I've ever made, on TheDailyCrux.Com.

More Gains Ahead for This Trophy Asset , on GrowthStockWire.Com.

Nobody Should Shed a Tear for JP Morgan Chase, on RollingStone.Com.

The hypocrisy of Wall Street 'capitalism' , on Salon.Com.

Stocks Have Reached a Rare Bearish Extreme, on GrowthStockWire.Com.

October 31, 2013

The Hubris Times

Something To Offend Everyone

..................................................................................

..................................................................................

Historic Compromise Reached

by Rascal J. Headwanker

WASHINGTON - The White House and Congressional leaders today announced what promises to be an historic compromise. After days and weeks of secret meetings held between the principal leaders of the nation, major steps appear to have been taken to put the nation's fiscal house in order.

Republicans compromise on key issues

For their part, Speaker of the House, John Boehner, and Senate Minority Leader, Mitch McConnell, have committed the Republicans in Congress to the following points.

1. A general reduction in military spending. Both Boehner and McConnell agreed that having a 700 ship navy is a bit of overkill, when one considers that one carrier task force has more fire power than the whole of the Japanese Navy had in World War II.

2. A review of the development of the newest fighter jet in the U.S. arsenal, the F-35. Since, as both Boehner and McConnell admitted, "it appears to be a turkey."

3. Agreement that fighting two wars at the same time for well over a decade is stupid and more expensive than the U.S. economy can really support.

4. Agreement that invading someone else's country is generally a bad thing to do.

5. Agreement on trimming down, and eventually elimating the whole farm subsidy program. "Farmers are doing fine now, and don't need a government hand-out every year, said Speaker Boehner. "Yeah," agreed McConnell, "it's time to wean them off free government money."

6. Agreement to eliminate, over the next two years, most corporate tax loopholes, subsidies, and protective tarriffs. Both agreed that, since the Supreme Court has ruled that Corporations are people, it is time for Exxon Mobile and General Electric to pay income tax.

7. Agreement to increase income tax on the top 1 percent of earners in the United States by elimating all income tax loopholes. McConnell and Boehner both admitted that the average Joe had no chance of successfully steering a beneficial loophole through the legislative process; and that, therefore, all loopholes are actually written by and for the wealthy.

Democrats compromise on key issues

President Obama, Senate Majority Leader Harry Reid, and House Minority Leader Nancy Pelosi also came to support some major compromises of their own including the following.

1. Agreement on the principle that government deficit spending is generally a bad idea that robs the average citizen of the value of his savings through inflation and depresses investment that leads to future economic growth.

2. Agreement that Big Banks and Brokerage houses on Wall Street have had undue influence in the affairs of the nation, are unrepentant shysters, that they should be allowed to actually fail when they screw up, and that their leaders should go to prison when they violate laws. Further, both Reid and Pelosi offered to never again accept campaign donations, either directly or indirectly from these big firms.

3. Agreement that the Federal Reserve should not be treated and should not act as a giant piggy bank, a sugar plum fairy that bails out Congress and the Administration ad naseum.

4. Agreement that the Middle Class is now paying what is historically the smallest Federal tax burden it has ever paid, and that someone, namely the Democrats, need to tell the Middle Class to buck up, tighten the belt, and pay their share of the Federal debt. "Yes," agreed President Obama, we need to tell the average American that he should pay for what he gets, when he gets it. Selling this idea to that average American won't be an easy job. But I guess that is what leadership is all about."

5. Agreement that the Federal Government's role in Education has been a continuous and unwavering record of failure, that it is time for the Federal Government to get out of the Education Business.

6. Agreement that the Federal Government had no business being in the business of extending Mortgages and Mortgage guarantees, that the job really should be left to private industry that can afford to take the risks involved, reap the rewards and go broke when mistakes are made. Reid and Pelosi both agreed that, "Fannie Mae and Freddy Mac are terrible ideas that should be killed."

7. Agreement that social programs should in no way ever be entitlements, that they should be designed to get those who are young and robust working. Minority Leader Pelosi stated that, "we should insist that young women who have babies should not make a career of being unsupported mothers, that they should be encouraged to find a way to support their own offspring, and that they should aquire education and skills along the way. Further, better efforts need to be made to insure that males who impregnate unwed mothers are forced to provide for their offspring."

8. All three Democratic leaders adamantly agreed to support the creation, somewhere on the West Coast of the United States, a Statue of Responsibility akin to the Stutue of Liberty in New York Harbor. In a statement, endorsed by Obama, Reid, and Pelosi, the three agreed the idea of responsibility for one's own actions, the idea of responsibility for one's own outcomes, had been neglected by political leaders in general and by Democratic Leadership specifically. The statement went on: "What is needed is for citizens to step and become more responsible, and for government to become more responsible too. It is long past time for the taxes, which are the life and sweat of the nation, to be wasted in such a prolifigate way."

Bender Home Directory